Workers in smaller organisations more likely to benefit from the Christmas spirit

Small private sector organisations are more likely to provide a gift at Christmas or organise a party, according to preliminary findings from the Chartered Institute of Personnel and Developmentís (CIPD) annual Reward Management 2006 survey.

Three-quarters of firms employing up to 49 staff pay for a Christmas party, while 13% provide a gift. By contrast, only two-fifths of firms employing over 5,000 staff provide for a party and just 2% give a gift. The full survey is due to be launched at the Annual Reward Conference, on the 8 February 2006, and looks at reward management practices within organisations.

Charles Cotton, CIPD Reward and Employment Conditions Adviser, says, ìSize is certainly something that matters when it comes to Christmas. Smaller firms are far more likely to behave like Santa and dish out presents and parties.

ìBut Christmas gifts alone will not prevent employees from leaving. Employers should consider reward throughout the working year, thinking creatively and selecting a strategy relevant to both the business and employees needs in order to retain and motivate employees.

ìTraditionally, employee benefits of all kinds were seen as a retention device. However, research indicates that employees are attracted, retained and engaged by a whole variety of rewards and there is not one solution that will meet everyoneís needs.

ìThis has led to many employers promoting non-financial benefits in their pay and benefit packages. The good news for smaller employers is that it doesnít matter if you canít always match the financial rewards of the big boys. What counts is the total reward offering and the non-financial rewards, such as being a good employer and providing a nice place to work, which are often overlooked by bigger firms. Sometimes not doing the little things can make employers look like Scrooge and affect the way employees feel about work.î

The results indicate that 64% of employers meet the majority or most of the cost of a Christmas party or lunch. However, only 13% now provide a Christmas gift such as a hamper or vouchers.

The survey highlights differences between various sectors:

Private sector service employers are the most generous with 82% likely to provide a Christmas party or lunch.

71% of the manufacturing and production firms provide a Christmas party or lunch.

66% of voluntary sector organisations provide a Christmas party or lunch.

Only 21% of public sector employers provide a party or lunch.

Manufacturing and production companies are more likely to provide a gift, with 21% doing so.

Only 15% of private sector service, 13% in the Voluntary sector and no public sector workers will receive a gift such as a hamper or voucher.

The survey highlights differences between organisation sizes:

Organisations with 50-249 employees are the most generous with 84% likely to provide a Christmas party or lunch, and 19% providing a gift such as a hamper or voucher.

73% of organisations with 0-49 employees provide a Christmas party or lunch, and 12% of these employees will receive a gift such as a hamper or voucher.

63% of organisations with 250-999 employees provide a Christmas party or lunch, and 11% of these employees will receive a gift such as a hamper or voucher.

47% of organisations with 1000-4999 employees provide a Christmas party or lunch, and 11% of these employees will receive a gift such as a hamper or voucher.

45% of organisations with 5000 employees provide a Christmas party or lunch, and 6% of these employees will receive a gift such as a hamper or voucher

Many organisations are planning Christmas parties and although over 50% of organisations have an alcohol policy (according to the CIPD ëAlcohol and drug policies in UK organisationsí survey) it tends to be forgotten or simply ignored at this time of year. Employees should be careful not to overindulge during these work events.

ìIf it is your first Christmas party with your employer take your cue from your managers. If they are not letting their hair down, make sure you behave sensibly as well. Remember these events are a really good opportunity to meet new people and network, so try to talk to people you donít normally work with,î says Cotton.